Debt to Total Capitalization = Debt / (Debt + Common Equity) Net Debt to Equity = (Debt -Cash & Cash Equivalents) / EBITDA EBITDA to Interest = EBITDA / Interest Expense Suppose Schmidlap Co has Sales of $310M, EBITDA of $45M, EBIT of $38M, Interest Income of $3M and Interest Expense is $15M, Depreciation & Amortization of $12, Cash and Cash Equivalents of $12M, Debt of $180M, Common Equity of $100M.

1. Compute Debt to Total Capitalization

2. Compute Net Debt to Equity

3. Compute EBITDA to Interest